Style of Investing in 2023
Investment style is the method followed by an investor in selecting investments for a portfolio
Active Investing
It is often used by people who aren't as worried about the long-term horizon.
Passive Investing
Passive investors are those who invest their money with a long-term time horizon.
Growth
It takes on stocks of companies whose earnings are growing faster than others and are expected to grow.
Value
Value investors look for those stocks that are out-of-favour or undervalued.
Market Capitalization
Selecting stocks based on the size of the company.
Indexing
With this, an investor creates a portfolio that mirrors the companies of a particular stock.
Which Investing Style Will You Choose?
It depends on your risk tolerance, the time horizon for investing, age, and investment goals.